AQ_F_0100237_20210524_ENF_Enf-FND

STATE OF NORTH CAROLINA NORTH CAROLINA
DEPARTMENT OF ENVIRONMENTAL
QUALITY
COUNTY OF ALAMANCE ) FILE NO. DAQ 2021-005
IN THE MATTER OF: )
CANFOR SOUTHERN PINE— )
GRAHAM PLANT ) CIVIL PENALTY ASSESSMENT
FOR VIOLATION OF: )
40 CFR PART 63, SUBPART A )
AIR PERMIT NO. 06740T22, )
GENERAL CONDITION F )
Acting pursuant to North Carolina General Statutes (G.S.) 143-215.114A, I, Michael A.
Abraczinskas, Director of the Division of Air Quality (DAQ), make the following:
I. FINDINGS OF FACT:
A. Canfor Southern Pine- Graham Plant(Canfor-Graham,NC)operates a lumber mill
that processes pine logs into dimensional lumber. Canfor - Graham, NC operates
four wood-fired boilers (ID Nos. B-1 through B-4). The DAQ Facility ID Number
is 0100237.
B. Wood-fired boilers B-2 and B-3 vent emissions through separate stacks that are
continuously monitored for opacity.
C. Canfor - Graham, NC, was issued Air Permit No. 06740T22 (the Permit) on
September 6, 2019, with an expiration date of April 30, 2023, for operation of its
facility located at 4408 Mt. Hermon-Rock Creek Road, Graham,Alamance County,
NC. Air Permit No. 06740T22 was the permit in effect at the time of the violations.
D. Air Permit No. 06740T22 contains the following pertinent provisions:
a. Specific Condition 2.2.C.1.a requires wood-fired boilers B-2 and B-3 to comply
with all applicable provisions of 15A NCAC 02D .1111 (40 CFR Part 63,
Subpart DDDDD -National Emission Standards for Hazardous Air Pollutants
for Major Sources: Industrial, Commercial, and Institutional Boilers and
Process Heaters,which includes Subpart A—General Provisions). The general
provisions 40 CFR Part 63, Subpart A includes the operation and maintenance
(O&M) provisions of §63.6 as well as the general duty requirement of
§63.860(d). 40 CFR 63.8(c)(4)(i) states that "[a]ll COMS shall complete a
minimum of one cycle of sampling and analyzing for each successive 10-second
period and one cycle of data recording for each successive 6-minute period."

Specific Condition 2.2.C.Lp requires Canfor - Graham, NC to install, calibrate,
maintain, and operate a continuous opacity monitoring system (COMS) on
wood-fired boilers B-2 and B-3 to measure opacity discharged to the
atmosphere.
b. General Condition F requires the facility to be properly operated and maintained
at all times, and that no emission source may be operated without the concurrent
operation of its associated air pollution control device(s) and appurtenances.
DAQ considers COMS sources with a percent monitor downtime(%MD)greater
than 6% for any single calendar quarter or greater than 3% for two consecutive
quarters to have operated with improper O&M practices.
E. On January 30, 2021, Canfor - Graham, NC submitted their periodic report entitled,
Semiannual Title VAir Permit Report, to the DAQ Winston-Salem Regional Office
(WSRO).The report indicated there was excessive monitor downtime for the COMS
installed on wood-fired boilers B-2 and B-3 during the third quarter of 2020.
F. In order to confirm improper O&M of the COMS on B-2 and B-3 during the third
quarter of 2020, DAQ requested clarification of reported monitor downtime. On
February 15,2021,Canfor-Graham,NC confirmed via email the reported excessive
monitor downtime for the COMS on both wood-fired boilers.The monitor downtime
for each COMS was attributed to a power outage that occurred on August 1, 2020
and impacted the data feeds from the COMS units on Boilers B-2 and B-3 to the
data acquisition system for 14,106 minutes (equivalent to monitor downtimes of
11.0% on B-2 and 11.4% on B-3).
G. DAQ informed Canfor - Graham, NC in its review letter of February 16, 2021, that
an enforcement action, beginning with a Notice of Violation (NOV), might be
pursued for excessive monitor downtime of the COMS installed on wood-fired
boilers B-2 and B3 during the third quarter of 2020.
H. The COMS on wood-fired boilers B-2 and B-3 were deemed to have operated with
improper O&M practices during the third quarter of 2020 due to reported monitor
downtimes of 11.0% on B-2 and 11.4% on B-3. It was determined there were two
(2) violations of excessive monitor downtime caused by one event. An NOV and a
Notice of Recommendation of Enforcement (NRE)was issued to Canfor - Graham,
NC on February 19, 2021, for violation of 40 CFR Part 63, Subpart A and General
Condition F of Air Permit No. 06740T22.
I. Canfor-Graham,NC submitted a written response to the NOV/NRE in a letter dated
March 24, 2021.
J. Because of the findings in paragraph H above, this action will account for the
excessive monitor downtime of the COMS installed wood-fired boilers B-2 and B-3
during the third quarter of 2020.

K. Air Quality compliance history over the past five years:
• A Notice of Violation/Recommendation for Enforcement was issued on March
26, 2020, for having improper O&M practices resulting in an excessive amount
of monitor downtime. A review of the semiannual summary report regarding
the facility's operation of the continuous monitoring system (COMS) during
the third and fourth quarter of calendar year 2019 indicated violations of
NCAC 02D .1111 "Maximum Achievable Control Technology"and NSPS
Subpart A. A civil penalty of$3,449 was assessed for these violations and was
paid in full.
• A Notice of Deficiency was issued on March 12, 2020, for a late internal
inspection of a bagfilter and cyclone.
• A Notice of Violation/Recommendation for Enforcement was issued on
December 13, 2019, for a failed stack test. The test results indicated a
violation of the NSPS Subpart Dc PM emissionss limit for boiler B-4. The test
reults indicated a filterable PM emissions rate of 0.0447 pounds per million
Btu which exceeded the limit of 0.030 pounds per million Btu. A civil penalty
of$4,253 was assessed for this violation and was paid in full.
• On February 3, 2021, an NOV/NRE was issued for violation pursuant to 40
CFR Part 60, Subpart Dc. for filterable PM emissions rate of 0.034 pounds per
million Btu which exceeded the limit of 0.030 pounds per million Btu
occurring on August 25, 2020. A civil penalty of$4,258 was assessed for this
violation on April 26, 2021.
L. The costs of investigation and inspection in the matter totaled $457.
Based upon the above Findings of Fact, I make the following:
II. CONCLUSIONS OF LAW:
A. Canfor- Graham, NC was in violation of 40 CFR Part 63 Subpart A and Air Permit
No. 06740T22, General Condition F for improper operation and maintenance of
their COMS during the third quarter of 2019.A total of two (2)violations caused by
one event is assessed for the COMS installed on wood-fired boilers B-2 and B-3.
B. G.S. 143-215.114A provides that a civil penalty of not more than twenty-five
thousand dollars per violation may be assessed against a person who violates or fails
to act in accordance with the terms, conditions, or requirements of a permit required
by G.S. 143-215.108 or who violates any regulation adopted by the Environmental
Management Commission.
C. G.S. 143-215.3(a)(9) provides that the costs of any investigation or inspection may
be assessed against a person who violates or fails to act in accordance with the terms,

conditions, or requirements of a permit required by G.S. 143-215.108 or who
violates any regulation adopted by the Environmental Management Commission.
Based upon the above Findings of Fact and Conclusions of Law, I make the following:
III. DECISION:
Canfor- Graham, NC is hereby assessed a civil penalty of:
$ 2, ow• n For violation of 40 CFR Part 63 Subpart A, and Air Permit No.
06740T22, General Condition F for improper operation and
maintenance of the COMS unit on wood-fired boilers B-2 and B-3
during the third quarter of 2020.A total of two (2)violations caused
by one event is assessed for the COMS installed on wood-fired
boilers B-2 and B-3.
$ 2., TOTAL CIVIL PENALTY, which is _ percent of the
maximum penalty authorized by G.S. 143-215.114A.
$ 457 Investigation costs.
$ 2-/ H S 7. oo _ TOTAL AMOUNT DUE.
Pursuant to G.S. 143-215.114A in determining the amount of the penalty, I have considered the
factors listed in G.S. 143B-282.1(b) and 15A NCAC 2J .0106,which are the following:
1) The degree and extent of harm to the natural resources of the State, to the public health,
or to private property resulting from the violation(s);
2) The duration and gravity of the violation(s);
3) The effect on ground or surface water quantity or quality or on air quality;
4) The cost of rectifying the damage;
5) The amount of money saved by noncompliance;
6) Whether the violation was committed willfully or intentionally;
7) The prior record of the violator in complying or failing to comply with programs over
which the Environmental Management Commission has regulatory authority; and
8) The cost to the State of the enforcement procedures.
'T /z-( /Z( Z'd k• Win
Date Michael A. Abraczinskas, Dire r
Division of Air Quality